WHY IS SHARE MARKET FALLING TODAY? KNOW KEY FACTORS BEHIND SENSEX, NIFTY CRASH ON JULY 8
Why Is Share Market Falling Today, July 8? Benchmark equity indices extended losses on Wednesday, with the BSE Sensex plunging over 820 points and the NSE Nifty slipping below the 24,150 mark amid heightened geopolitical tensions in West Asia, rising crude oil prices and weak global cues. At 1:48 pm, the 30-share Sensex was trading 821.14 points, or 1.05 per cent, lower at 77,359.58, while the Nifty 50 declined 253.40 points, or 1.04 per cent, to 24,145.30.
Market breadth remained weak, with losses spread across financials, FMCG, oil & gas, private banks and healthcare stocks. Realty was among the few sectors trading in positive territory.
Among Sensex constituents, IndiGo, Hindustan Unilever, BEL, Kotak Mahindra Bank, Bharti Airtel, ITC, ICICI Bank, Reliance Industries, Bajaj Finance and UltraTech Cement were among the biggest losers falling by up to 2.3 per cent. On the other hand, Eternal, Trent and Infosys bucked the trend and traded with modest gains of 1.4 per cent.
Nifty FMCG was the worst-performing sector, falling 1.23 per cent, followed by Nifty Oil & Gas (-1.43 per cent), Nifty Chemicals (-1.10 per cent), Nifty PSU Bank (-0.80 per cent) and Nifty Private Bank (-0.78 per cent). Nifty IT also slipped 0.51 per cent, giving up its morning gains.
Factors weighing on the market
Escalation in West Asia tensions: Investor sentiment weakened after the United States carried out fresh strikes on Iran, reigniting geopolitical concerns. The situation worsened after Washington revoked a licence that had allowed Iran to export oil following attacks on three tankers in the Strait of Hormuz, raising fears of supply disruptions despite an existing ceasefire.
Crude oil extends gains: Brent crude climbed 2.55 per cent to $76.05 a barrel. Rising oil prices are typically seen as a negative for India, which relies heavily on crude imports, as they can widen the import bill, stoke inflationary pressures and increase input costs for businesses.
Global markets remain under pressure: Asian equities traded in the red, with Japan’s Nikkei 225 and South Korea’s Kospi posting losses. The weak handover from Wall Street, where US stocks closed lower overnight, also dampened investor confidence.
Rupee weakens against the dollar: The Indian rupee fell 20 paise to 95.16 against the US dollar in early trade. Dealers attributed the decline to rising geopolitical tensions, higher crude oil prices and a stronger US dollar, while weak domestic equity markets further added pressure on the local currency.
Volatility spikes: The India VIX, often referred to as the market’s fear gauge, jumped more than 7 per cent to 12.47, signalling heightened uncertainty and a cautious approach among market participants.
2026-07-08T08:24:00Z
